13 Jul 2010

Merger and acquisition activity growing - KPMG

6:11 am on 13 July 2010

Merger and acquisition activity is growing in New Zealand, bucking a global downward trend, according to KPMG.

Its latest Global M&A Predictor shows that value of mergers and takeovers in this country has increased by 15% in the last six months.

In contrast, a severe loss of market confidence due to the soveriegn debt crisis and fears that the world is headed for a double dip recession, has kept the global M&A market on the backfoot.

KPMG NZ corporate finance partner Tony McNaught says New Zealand is largely immune to those issues.

He says companies have reduced their debts and improved earnings forecasts, which should spur an increase in future deal-making.